International Business – Projects4MBAhttp://www.projects4mba.com
Sun, 11 Feb 2018 04:10:51 +0000en-UShourly1https://wordpress.org/?v=4.9.3Types of International Businesshttp://www.projects4mba.com/types-of-international-business/137/
http://www.projects4mba.com/types-of-international-business/137/#respondWed, 31 Aug 2011 14:04:26 +0000http://www.projects4mba.com/?p=137There are number of ways for internationalization / globalization of business. these are referred as foreign market entry strategies. Each of these ways has certain advantages and disadvantages. One strategy... Read more »

]]>There are number of ways for internationalization / globalization of business. these are referred as foreign market entry strategies. Each of these ways has certain advantages and disadvantages. One strategy for a particular business may not be very suitable for another business with different environment. Therefore it is quite common that a company employs different strategies for different markets.

The different strategies are :

Imports : Imports is defined as goods and services produced by host country and purchased by parent country. it is reverse process of Exports.

Exports : Exports is defined as goods and services produced in one country then get marketed to other country.

Licensing : Licensing which involve minimal commitment of resources and effort on the part of the international marketer, are easy ways of entering the foreign markets. Under international licensing, a firm in one country (the licensor) permits a firm in one country permits the firm in another country to use the intellectual property (such as patents, trademarks, copyrights, technology, technical know – how, marketing skill or some other specific skill). The monetary benefits to the licensor is the royalty fees, which the licensee pays.

Franchising : Franchising is giving right at a parent company (Franchiser) to another company (Franchisee) using his name selling his products, do business in a prescribed manner and get advantage of brands of parent company.

Joint Venture : It is a mutual agreement of two or more partners across globe to collectively own the company to produce goods and services. This will be pooling the resources to mutual advantages.

Manufacturing in Foreign Country : When a company finds better economy in manufacturing in host country due to lower costs of materials labour or duties the manufacturing is undertaken in host country. The local conditions in host country should support manufacturing and marketing activities.

Management Contracts : The foreign country needs management expertise in managing existing or a sick company this method is used. Under management contract the service provided gets fees or shares in the company. The contracts is for a specific period.

Consultancy Services

Strategic Partnerships : The positive aspect of two companies in different countries are joined together. The resources are pooled together to produce new marketable products. This will put both companies in win-win situations .

Mergers : A Corporate Merger is a combining of corporations in which one of two or more corporations survives and works for common objectives. These are several types of mergers with a variety of filing requirements based on number of corporations merging and the type of merger.

Counter Trades : Counter trade is a form of international trade in which certain exports and import transactions are directly linked with each other and in which imports of goods are paid for by exports of goods, instead of money payments.

]]>http://www.projects4mba.com/types-of-international-business/137/feed/0Problems in International Businesshttp://www.projects4mba.com/problems-in-international-business/135/
http://www.projects4mba.com/problems-in-international-business/135/#respondWed, 31 Aug 2011 09:00:41 +0000http://www.projects4mba.com/?p=135There are many Problems in International Business. The restraining forces slow down the progress of companies that take up International Business. The restraining forces are : First Main Problem in... Read more »

]]>There are many Problems in International Business. The restraining forces slow down the progress of companies that take up International Business. The restraining forces are :

First Main Problem in International Business is Culture : The culture of the nation and the companies should have international vision. The long term perspective of companies should be to move wherever market opportunities are good. The inward looking culture makes companies to remain local.

Another main problem in International Business is Market Competition in Host Country : If best global companies enter the markets, the competition goes intense and accordingly inefficient companies have to close their shops.

Another main problem in International Business is Costs : The competition calls for marketing quality products at competitive prices. If prices are high the market rejects the products.

One of the main problem in International Business is National Controls : The nation build barriers for outside country manufacturers by increasing trade barriers. Trade barriers will be direct by way of high customs duties. Indirect barriers will be licensing procedures, quota system , inspection, certification and tedious paper work.

Another main problem in International Business is Nationalization: Due to Ideological differences some nations do not trade with nations of their dislike.

Another main problem in International Business is War and Terrorism : The political uncertainties and war like situation are blockages to growth of trade.

One of the main problem in International Business is Shortsightedness of Management : Some management ignores vast business opportunities across national borders. The companies do not wish to go beyond national borders. If a company does not adapt to local conditions it does not survive.

One of the main problem in International Business is Organization History : The companies who are contended and like to remain within a nation.

Another main problem in International Business is Domestic Forces : The government or social restrictions imposed on commerce and industry become hurdle in a company going global.

One of the main problem in International Business is Conflict within companies and within international organization : Difference of opinion in strategies to be adopted between different management levels in international business. If support is inadequate the international business proposal fails.

]]>http://www.projects4mba.com/problems-in-international-business/135/feed/0Main Difference Between Domestic and International Businesshttp://www.projects4mba.com/main-difference-between-domestic-and-international-business/131/
http://www.projects4mba.com/main-difference-between-domestic-and-international-business/131/#respondTue, 30 Aug 2011 14:05:19 +0000http://www.projects4mba.com/?p=131Main Difference Between Domestic and international Business are as follows : S.No International Business Domestic Business 1. It is extension of Domestic Business and Marketing Principles remain same. The... Read more »

]]>http://www.projects4mba.com/main-difference-between-domestic-and-international-business/131/feed/0International Businesshttp://www.projects4mba.com/international-business/129/
http://www.projects4mba.com/international-business/129/#respondMon, 29 Aug 2011 18:02:21 +0000http://www.projects4mba.com/?p=129The Technology era since last two decades is bringing a fundamental shift in business around the globe. The national economies are opening up and allowing cross border trade and investments.... Read more »

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The Technology era since last two decades is bringing a fundamental shift in business around the globe. The national economies are opening up and allowing cross border trade and investments. Technologies are helping to reduce distances and improve business.

Business is a medium of growth to any country. When business grows internationally country’s economy also grows.

International Business is a combination of two words :
INTERNATIONAL + BUSINESS = INTERNATIONAL BUSINESS

“International Business is doing business across national political boundaries”. The business transactions may be importing, exporting and in the form of goods in any areas of transactions like transfer of process knowledge, managerial inputs, capital investments and consultancy.

In other words – when business of a country that type of business is called international business. It is concerned with movement of goods and services, capital technology, row material, manpower, etc.